Utility maximization implies that the total utility of the consumer can be maximized only when the price of a good increases.

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Utility maximization occurs when a consumer allocates their budget to maximize the total utility obtained from the goods and services they purchase. This does not necessarily require an increase in the price of a good. In fact, consumers may aim to purchase goods at a lower price in order to increase their total utility by being able to afford more goods within their budget constraint.

Utility Maximization Implies That the Total Utility of the Consumer